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U.S. IT Industry Analysis

UpdatedJun 25, 2026
DataAggregated Company Financials
Companies121
  • 7D-3.6%
  • 3M4.9%
  • 1Y-13.2%
  • YTD-13.6%

Over the last 7 days, the IT industry has dropped 3.6%, driven by a pullback from Accenture of 17%. Meanwhile, Shopify actually outperformed within the industry, gaining 5.6% in the last week. However, the industry is down 13% over the past year. Earnings are forecast to grow by 24% annually.

Industry Valuation and Performance

Has the U.S. IT Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 25 Jun 2026US$870.8bUS$260.6bUS$20.2b16.1x43.1x3.3x
Sat, 23 May 2026US$868.8bUS$258.8bUS$20.3b20.8x42.9x3.4x
Mon, 20 Apr 2026US$888.6bUS$259.8bUS$21.6b22.2x41.2x3.4x
Wed, 18 Mar 2026US$871.2bUS$258.1bUS$21.6b19.4x40.4x3.4x
Fri, 13 Feb 2026US$918.0bUS$256.3bUS$21.9b22.9x41.9x3.6x
Sun, 11 Jan 2026US$1.1tUS$282.8bUS$21.0b30.9x52.2x3.9x
Tue, 09 Dec 2025US$1.1tUS$282.1bUS$21.0b30.5x51.8x3.9x
Thu, 06 Nov 2025US$1.1tUS$279.9bUS$20.0b29.7x54.7x3.9x
Sat, 04 Oct 2025US$1.1tUS$283.3bUS$20.1b33.2x54.2x3.8x
Mon, 01 Sep 2025US$988.2bUS$250.9bUS$19.3b32.7x51.2x3.9x
Wed, 30 Jul 2025US$977.0bUS$242.9bUS$17.7b26.8x55.2x4x
Fri, 27 Jun 2025US$1.0tUS$241.7bUS$17.4b28.9x58.1x4.2x
Sun, 25 May 2025US$930.5bUS$240.2bUS$16.9b29x54.9x3.9x
Tue, 22 Apr 2025US$804.6bUS$242.4bUS$18.5b32.3x43.5x3.3x
Thu, 20 Mar 2025US$872.0bUS$240.0bUS$19.1b44.8x45.6x3.6x
Sat, 15 Feb 2025US$1.0tUS$239.6bUS$18.2b44.8x57.5x4.4x
Mon, 13 Jan 2025US$855.5bUS$234.0bUS$16.5b38.9x52x3.7x
Wed, 11 Dec 2024US$907.6bUS$233.2bUS$16.4b45.9x55.5x3.9x
Fri, 08 Nov 2024US$806.4bUS$233.0bUS$16.3b46x49.6x3.5x
Sun, 06 Oct 2024US$806.1bUS$232.9bUS$17.8b43.3x45.4x3.5x
Tue, 03 Sep 2024US$761.2bUS$233.2bUS$17.5b38.3x43.4x3.3x
Thu, 01 Aug 2024US$751.2bUS$237.2bUS$17.4b29.7x43.1x3.2x
Sat, 29 Jun 2024US$706.4bUS$237.1bUS$17.2b27.9x41.1x3x
Mon, 27 May 2024US$707.2bUS$237.0bUS$17.2b28.2x41x3x
Wed, 24 Apr 2024US$734.3bUS$227.8bUS$13.7b24.2x53.4x3.2x
Fri, 22 Mar 2024US$816.2bUS$227.7bUS$14.6b22.5x56.1x3.6x
Sun, 18 Feb 2024US$831.3bUS$227.5bUS$14.2b23.4x58.5x3.7x
Tue, 16 Jan 2024US$799.2bUS$229.4bUS$12.9b20.7x61.8x3.5x
Thu, 14 Dec 2023US$770.8bUS$229.0bUS$12.8b21x60.2x3.4x
Sat, 11 Nov 2023US$679.6bUS$228.4bUS$12.6b20.9x53.8x3x
Mon, 09 Oct 2023US$668.4bUS$227.2bUS$6.5b22.3x103.3x2.9x
Wed, 06 Sep 2023US$709.1bUS$226.6bUS$6.8b22.3x104.2x3.1x
Fri, 04 Aug 2023US$682.9bUS$226.9bUS$6.3b23.3x109x3x
Sun, 02 Jul 2023US$679.5bUS$228.6bUS$6.1b23.6x111.5x3x
Price to Earnings Ratio

111.5x


Total Market Cap: US$679.5bTotal Earnings: US$6.1bTotal Revenue: US$228.6bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. IT Industry Price to Earnings3Y Average 56.3x202420252026
Current Industry PE
  • Investors are pessimistic on the American IT industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 43.1x which is lower than its 3-year average PE of 56.3x.
  • The industry is trading close to its 3-year average PS ratio of 3.5x.
Past Earnings Growth
  • The earnings for companies in the IT industry have grown 49% per year over the last three years.
  • Revenues for these companies have grown 4.5% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the U.S. Tech industry?

US Market-2.47%
Tech-4.47%
IT-3.61%
Data Processing Services-1.85%
Internet Services and Infrastructure-2.83%
IT Consulting-4.65%
Industry PE
  • Investors are most optimistic about the Data Processing Services industry, which is trading close to its 3-year average PE ratio of 27.7x.
    • Analysts are expecting annual earnings growth of 13.2%, which is lower than the prior year's growth of 25.8% per year.
Forecasted Growth
  • Analysts are most optimistic on the Internet Services and Infrastructure industry, expecting annual earnings growth of 35% over the next 5 years.
  • However this is lower than its past earnings growth rate of 88% per year.
  • In contrast, the IT Consulting industry is expected to see its earnings grow by 7.7% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
SHOP ShopifyUS$114.175.6%
+US$7.9b		0.2%PE111.5x
GDDY GoDaddyUS$81.336.9%
+US$691.2m		-54.1%PE12.4x
IBM International Business MachinesUS$262.960.2%
+US$573.3m		-9.7%PE23x
BLZE BackblazeUS$11.9744.7%
+US$222.1m		123.7%PS4.8x
WYFI WhiteFiberUS$38.7115.5%
+US$200.4m		n/aPS18.1x

Latest News

BLZE
US$11.97
Backblaze
7D
44.7%
1Y
123.7%
DOCN
US$148.59
DigitalOcean Holdings
7D
-16.4%
1Y
433.9%
CRWV
US$100.88
CoreWeave
7D
-14.5%
1Y
-36.2%
ACN
US$129.15
Accenture
7D
-17.2%
1Y
-56.2%
NET
US$223.48
Cloudflare
7D
-1.5%
1Y
17.5%
WYY
US$17.62
WidePoint
7D
34.7%
1Y
413.7%
Narrative Update • Jun 23

WYY: Outsourced Procurement Win Will Likely Mask Dilutive Equity Offering

Analysts have maintained their overall fair value estimate for WidePoint at $9.50, making only minor adjustments to the discount rate, revenue growth, profit margin and future P/E assumptions. These changes reflect fine tuning of their valuation models rather than a shift in their broader view.
SHOP
US$114.17
Shopify
7D
5.6%
1Y
0.2%
IBM
US$262.96
International Business Machines
7D
0.2%
1Y
-9.7%
Seeking Alpha • Jun 23

IBM's Big AI Move Warrants Attention, But Not An Upgrade

Summary International Business Machines Corporation maintains strong revenue, profit, and cash flow growth, driven by robust performance in Software, Consulting, and Infrastructure segments. Recent partnership with OpenAI's Daybreak Cyber Partner Program and Project Lightwell highlights IBM's strategic push into enterprise AI-driven cybersecurity. Software segment annual recurring revenue reached $24.6 billion, with notable growth in Hybrid Cloud (Red Hat), Automation, and Data units fueled by AI and acquisitions. Despite operational momentum and innovation, IBM remains a Hold due to relatively high valuation compared to peers, though an upgrade could be justified if trends persist. Read the full article on Seeking Alpha
OKTA
US$118.58
Okta
7D
0.7%
1Y
20.8%
Narrative Update • Jun 23

OKTA: AI Agent Identity Security And Governance Will Drive Future Upside

Analysts have lifted the Okta fair value estimate from $133.38 to $148.28, reflecting higher Street price targets clustered around $120 to $140 after strong Q1 execution, improving profit margin expectations, and early traction in agentic AI products, even though some view the stock as fully valued in the near term. Analyst Commentary Street research around Okta remains active, with most recent notes pointing to solid Q1 execution, higher price targets, and growing attention on agentic AI products, even as some firms flag valuation as tight after the stock's sharp move.
APLD
US$41.98
Applied Digital
7D
-9.9%
1Y
297.5%
GDDY
US$81.33
GoDaddy
7D
6.9%
1Y
-54.1%
Analysis Article • Jun 20

GoDaddy (GDDY) Stock Could Be 32.6% Undervalued After Arrow AI Builder Launch

Arrow AI Builder launch puts GoDaddy stock in focus Recent commentary from GoDaddy (GDDY) leadership around strong Q1 results and the rapid uptake of its new Arrow AI Builder tool has brought fresh attention to how the stock reflects that business momentum. See our latest analysis for GoDaddy. Despite the enthusiasm around Arrow AI Builder and solid Q1 commentary, GoDaddy’s recent share price performance has been weak. The stock is down 15.9% on a 30 day share price return and 35.0% year to...
WYFI
US$38.71
WhiteFiber
7D
15.5%
1Y
n/a
Analysis Article • Jun 19

WhiteFiber (WYFI) Stock Looks 9% Overvalued After $100 Million AI Infrastructure Loan

WhiteFiber (WYFI) drew fresh investor attention after securing a $100 million delayed-draw term loan facility from majority owner Bit Digital, with the potential to expand to $150 million, to support its AI infrastructure buildout. See our latest analysis for WhiteFiber. That funding headline has arrived alongside sharp gains in WhiteFiber’s stock, with a 1-day share price return of 14.8% and a 90-day share price return of 177.9%. This points to strong recent momentum after a slower start to...
MDB
US$302.44
MongoDB
7D
-9.1%
1Y
44.6%
Narrative Update • Jun 19

MDB: Atlas And AI Data Workloads Will Drive Future Share Upside

MongoDB's analyst price target has been revised slightly lower to about $394.68 from $395.77. Analysts are factoring in modest adjustments to growth and discount rate assumptions while still pointing to solid Atlas momentum, a maturing AI data platform opportunity, and broadly higher Street targets across recent research updates.
VRSN
US$252.08
VeriSign
7D
-4.8%
1Y
-10.7%
Narrative Update • Jun 18

VRSN: 2026 Guidance And Buybacks Will Challenge Raised Stock Expectations

VeriSign's analyst price targets have increased by a combined $80 across recent reports, as analysts point to modest adjustments in revenue growth expectations, profit margin assumptions, discount rates, and future P/E estimates in their updated models. Analyst Commentary Recent research on VeriSign highlights a split view, with headline price target increases contrasted by more cautious commentary around what needs to go right to support those targets.
SNOW
US$225.95
Snowflake
7D
-3.7%
1Y
2.0%
Narrative Update • Jun 17

SNOW: AI Data Cloud Partnerships Will Drive Future Stock Adoption

Snowflake stock's analyst fair value estimate has been lifted from $336.74 to $400.61, as analysts point to broad price target increases across the Street tied to stronger AI workload adoption around Cortex Code, CoCo and the newer agentic platform unveiled at Snowflake Summit 2026. Analyst Commentary Recent research on Snowflake centers on how the company is executing around AI, particularly Cortex Code, CoCo, CoWork, Snowflake Intelligence, and the newer agentic platform.
AIAI
US$17.21
AIAI Holdings
7D
12.2%
1Y
n/a